Getting the China Story Right: Insights from National Economic Censuses

Two Hong Kong-based geographers critically interrogate competing interpretations of the nature and dynamics of China's ongoing economic transformation. Based on the data gathered from China's first and second national economic censuses, they examine the pattern and process of ownership transformation in the Chinese economy, focusing on employment, capital assets, and output as well as productivity and industrial innovation. Emphasis is placed on the following critical issues: (1) after three decades of opening, China's national economy continues to be dominated by domestic enterprises (with foreign and overseas Chinese-invested enterprises limited to only a few industrial sectors and highly specific locales); (2) the bulk of capital assets and key large-scale industrial sectors remain in state ownership; and (3) spontaneous, bottom-up privatization of the labor market has occurred without a corresponding privatization of the capital market. In examining these and other issues, the authors argue that the evolving, complex "China story" can be better understood only after abandoning reliance on preconceived theoretical models derived primarily from Western experience. They support their case by first challenging the conventional neoliberal view of privatization as an independent force or predetermined condition, arguing instead that it is conditioned by prevailing social and political influences. Likewise, they posit that rapid expansion of private and individual businesses at the grassroots level has owed more to relaxed state control than to active state involvement envisioned by the thesis of state corporatism. Journal of Economic Literature, Classification Numbers: E22, E23, E24, O11, P20. 8 figures, 6 tables, 87 references.     

Fiscal Reform,Policy, and Constraints during Transition in Poland

Two specialists on the Polish economy examine the process whereby the fiscal system of Poland's centrally planned economy was replaced during the 1990s by a system designed for a market economy. Changes in the structure of both revenues and expenditures are described. The authors demonstrate that fiscal authorities in Poland heretofore have maintained budget control despite radical changes in fiscal systems and institutions. However, they identify and assess emerging concerns regarding the ability of fiscal authorities to manage the economy in the face of external shocks, potential mismanagement of extra-budget expenditures such as social security, and increased debt-financing requirements. Journal of Economic Literature, Classification Numbers: E50, E60, H50, H60. 6 figures, 5 tables, 27 references.     

Cities and Privatization

Cities across America look for management strategies useful for accomplishing their responsibilities and programs. While some cities include privatization strategies in their management portfolios, others do not, and the underlying reasons are not readily apparent. This study seeks to gain some insight into this disparity through several questions: Why do some cities use more privatization than others? Are privatization levels higher in fiscally healthy or fiscally stressed cities? Where are the cities that use privatization located? This study attributes municipal privatization levels in medium-sized cities, in part, to degree of wealth, fiscal stress, and location. The findings suggest that privatization levels are higher in wealthy, fiscally healthy, suburban cities.     

Mexican Public Sector Food Policy Under Agricultural Trade Liberalization

Mexico has enjoyed one of the Third World's most successful food production systems, based on a complex pattern of public sector intervention. Since 1982, the public sector has withdrawn, in a remarkably Steadfast commitment to privatization, external stabilization, and trade liberalization. This article traces the key elements of that process, and their likely impacts on traditional political goals of food security progressive social policy in the countryside, and external sector dependence. The principal argument is that privatization and trade liberalization leave poor agriculturalists vulnerable, but undoubtebly offer fiscal gains to the state and benefits to urban consumers, especially in light of reduced subsidies.     

Politics,Society and Financial Liberalization: Turkey in the 1990s

This article focuses on the political economy of Turkey in the 1990s to illustrate the importance of analysing economic variables that intersect with the quality of political democracy. In 1989, the debt‐ridden state moved to systematically and completely deregulate Turkey’s financial markets. Together with the ongoing processes of liberalizing commodity markets and integrating with global capital markets, financial liberalization was expected to achieve fiscal and monetary stability, stimulate business confidence to invest in productive sectors, produce stable growth, encourage privatization and control inflation. However, the new hegemony of the capital markets has gone hand‐in‐hand with deteriorating macroeconomic performance, a worsening income distribution, the discrediting of politics and its isolation from society. The authors examine several key dynamics which are helping to legitimate the neoliberal agenda of the 1990s. These include the distribution of state largesse to manipulate electoral capitalism; the rise of an informal sector in the ‘Anatolian Tigers’; promotion of the seductive attractions of the market; and an antipolitical reform populism adopted by political actors to exploit popular disillusionment with the political system.     

Airport Privatization

In today's economic and political climate, there is a growing trend toward less governmental intervention in the economy and more reliance on the private sector for the delivery of a variety of services. Deficit politics, airline deregulation, and the prospect of a windfall of cash has prompted many local units of government that own and operate airports to consider selling or leasing these facilities to private investors. Airport privatization has emerged as a contentious issue, with weighty arguments on both sides of the debate. This article examines these arguments and presents several models of airport privatization. The authors suggest that the most aggressive form of privatization–full divestiture–is unlikely to produce the benefits advertised by its proponents. However, less radical forms of privatization serve as useful models for future airport ownership and operation. The authors conclude that, given the great variation in the types of airports in the United States system, no single model is sufficient.     

In the Public Interest

In today's economic and political climate, there is a growing trend toward less governmental intervention in the economy and more reliance on the private sector for the delivery of a variety of services. Deficit politics, airline deregulation, and the prospect of a windfall of cash has prompted many local units of government that own and operate airports to consider selling or leasing these facilities to private investors. Airport privatization has emerged as a contentious issue, with weighty arguments on both sides of the debate. This article examines these arguments and presents several models of airport privatization. The authors suggest that the most aggressive form of privatization–full divestiture–is unlikely to produce the benefits advertised by its proponents. However, less radical forms of privatization serve as useful models for future airport ownership and operation. The authors conclude that, given the great variation in the types of airports in the United States system, no single model is sufficient.     

Common Property Resource Institutions and Forest Management in Latin America

This article focuses on how common property resource (CPR) institutions managing forest resources in Latin America have responded to change, a subject relatively ignored in the English-language literature. It examines in particular the evidence surrounding the popular view that CPR institutions must inevitably break down in the face of economic and demographic pressures—an extension of the `tragedy of the commons' thesis. The evidence shows that there have been a number of both positive and negative experiences. The negative experiences include the obvious vulnerability of Amerindian informal institutions to the individualistic incentive structures of market forces. The apparent incompatibility between the market and `gift' economy leads to a questioning of the current donor emphasis on market-orientated natural forest management among indigenous groups that have received little exposure to market forces, and alternative approaches are suggested. However, many indigenous and other groups have responded positively to market pressures and there is ample evidence that, given an appropriate policy environment, community-based natural forest management can still be regarded as a `great white hope' for forest conservation, especially considering the largely negative environmental and equity impacts of individualized resource privatization, as in the Brazilian Amazon. However, CPR institutions have generally faced an unsupportive policy environment; it is therefore over-simplistic for those in favour of privatization of property rights to ascribe their erosion to commercial or demographic pressures per se.     

Bosnia and Herzegovina Five Years after the Dayton Accords

A specialist on financial issues in the State of Bosnia and Herzegovina assesses economic performance in that country during the five years following conclusion of the Dayton Peace Accords. The basic provisions of the Accords relating to economic activity and post-war reconstruction are presented, after which the analysis focuses on developments in the economy, privatization, and banking-sector reform, to the extent that available data allow. Coverage then turns to a review of the role of the Office of the High Representative in administration of the State's two constituent Entities: the Federation of Bosnia-Herzegovina and the Serb Republic. Journal of Economic Literature, Classification Numbers: O11, O18, O52. 5 tables, 33 references.     

Producing Privatization: Re‐articulating Race,Gender, Class and Space

Abstract: This article combines insights into the mutually constituting nature of gender, race, class and space with Marxist analyses that interrogate how social relations both produce and are constrained by institutions to explore waste management privatization in Johannesburg. It argues that the crystallization of racialized, gendered inequalities within bargaining institutions underpinned financial motivations for privatization. The form of privatization varied across the city due to the ways in which the class of the area serviced articulated with the racialization and gendering of capital and labour in these spaces. An array of material conditions and ideologies informed these processes in which workers were active, although not necessarily progressive agents. Focusing on how privatization is produced through spatialized and institutionalized social relations illuminates avenues for struggle hidden from view in both aspatial, ideal‐type feminist political economy analyses and geographic analyses of privatization inattentive to the mutually constituting nature of gender, race and class.     

Privatization and Foreign Investment in the Utilities Industries of Kazakhstan

An American economist specializing in the natural resource and related industries of Kazakhstan examines the experience in the privatization of that country's power generation, telecommunications, and postal services sectors. A focus is on the involvement of foreign companies in the process, the terms of the management contracts/joint-venture agreements, and the extremely short time frame within which privatization was implemented. Difficulties resulting from the rapid pace of privatization are described: unclear terms of sale, reversals of tender awards and cancellation of agreements, nonpayment by consumers, and uncertainties in the setting of rates. Journal of Economic Literature, Classification Numbers: F21, G34, L90. 1 figure, 1 table, 30 references.     

City as province in China: the territorial urbanization of Chongqing

Chongqing is a province-level city region in China’s interior with a land area larger than many small countries. Limited scholarship tends to treat Chongqing as a new jurisdiction formed in relation to development of the Three Gorges Dam and reform of historic state-planned industry from the Mao era. This analysis turns to the complex process of land redistricting in a process of “territorial urbanization” that has also simultaneously reshaped the economy of Chongqing. By conceptualizing Chongqing as a dynamic administrative territory, this analysis defines changes in the relational configuration of its administrative divisions (xingzheng quhua) as a multi-faceted state strategy of governing land use change and the fiscal regime to realize infrastructure development. Especially by establishing districts in Chongqing, territorial urbanization works to enhance the funding capacity of the Chongqing government to develop larger, expansive infrastructure projects. This urban transformation of Chongqing demonstrates how processes of land use change and government funding, materializing in the built environment, are directly related to changes in state territorial configuration.     

The ‘China model’ and the global crisis: from Friedrich List to a Chinese mode of governance?

The global financial crisis reinvigorated ongoing debates over whether China has its own distinct and separate ‘model’ of political economy and/or development. There is much that connects this Chinese model with previous systems of national political economies; partly in terms of specific policy preferences, but also in terms of shared basic conceptions of the distribution of power in the global order. Like these previous systems, China has come to stand as an example of an alternative to following dominant (neo‐)liberal models of development. In this respect, what the China model is not and what China does not stand for might be more important than what it actually is and what it does stand for. However, the idea of a coherent and unique Chinese model has considerable purchase, and is both informed by and also feeds into considerations of China's uniqueness and difference from the norms, ideas and philosophies that dominate the rest of the world.     

Land Privatization and Enterprises in Georgia

An American attorney directing a U.S. Agency for International Development (USAID) program supporting privatization of urban and industrial land in Georgia since autumn 1997 describes the procedure whereby previously privatized enterprises can acquire the land beneath and surrounding those enterprises. This program, incorporating experience derived in commercial land privatization elsewhere in the former USSR and designed to emphasize transparency and minimize fees and paperwork, is compared with alternative approaches utilized in other republics. A procedure whereby enterprises not meeting land privatization criteria may lease land from the state, and whereby local authorities may sell vacant land, also is described. Journal of Economic Literature, Classification Numbers: D23, R33, R52. 20 references.     

A China Paradox: Migrant Labor Shortage amidst Rural Labor Supply Abundance

A U.S. geographer and noted authority on China's urbanization seeks to explain the apparent paradox between reported recent shortages of migrant labor in cities in eastern China's export-oriented manufacturing belt and the abundant supply of labor in China's rural areas. He examines important socioeconomic contexts often overlooked in the debate over whether China has reached the Lewis turning point (when dual rural-urban labor markets begin to merge and a labor surplus economy is transformed into a full-employment economy), which make possible the existence of such shortages over the short term and in local areas. These include the special characteristics of China's export industrialization (e.g., preference for workers in the age category 16-30); its immense migrant labor force, constrained under the hukou system; the short-term impacts of China's economic stimulus program launched in early 2009 in the wake of the global economic crisis; and cycles in the global economy that support or impede export production.     

Les Grecs Pontiques: Diaspora,Identité, Territoires.

Abstract

In recent years there have been significant advances in our understanding of the Byzantine rural economy. While work on such problems as the legal status of the peasantry, the fiscal procedures by which the state extracted revenues from the peasantry and the nature of the fiscal concessions which the state made to landowners remains central to our understanding of the Byzantine social structure, greater attention has been paid recently to the history of settlements, agricultural production and the influence of the climate and environment on the rural economy. Recent work has been greatly facilitated by two developments, the publication of more material from the archives of Mount Athos and the upsurge in intensive surveys and other archaeological work which is already providing us with information about regions for which our documentary material is either inadequate or non-existant. This paper will not attempt a comprehensive discussion of all recent work on the subject, but will focus on some of the most significant problems affecting our understanding of the Byzantine rural economy.     

Minding the Undertow: Assessing Water "Privatization" in Cuba

Abstract:  The privatization and commercialization of water has proven to be one of the most controversial policy developments of the past 20 years. Largely associated with the neoliberalization of the world economy, it comes as a surprise to many that the socialist government of Cuba signed a 25-year contract with a Spanish multinational in 2000 to manage the supply of water in Havana. This paper provides an historical context for water reforms in the country and the first comprehensive study of this little-known contract. Based on key interviews and primary documentation we argue that there are no easy explanations for why the contract was signed, or whether it has achieved its objectives. There are, however, interesting lessons to be learned for public–private partnerships elsewhere in the world, and insights into the changing fabric of socialism in Cuba.     

The Fiscal-Electoral Nexus in Australia, 1976-94

This article re-evaluates existing political business cycle theory in the specific context of the political economy of Australian fiscal policy since the mid-1970s. Whereas 'traditional' political business cycle models, formulated within a Keynesian framework, assume a high level of state autonomy over fiscal policy, this article argues that an environment of fiscal restraint has been imposed on Australian federal governments over the study period. Given the historical dynamics of Australian economic policy which inform this study, a hypothesis is developed which reflects the policy optimisation dilemma which has confronted Australian federal governments when formulating fiscal priorities in a pre-election context. On one hand, there are pre-poll demands for expansionary fiscal settings from the electorate; on the other, there are demands from financial markets and domestic neoliberal interests for fiscal restraint. Reflecting the fact that identifiable costs are associated with implementing expansionary fiscal policy settings, it is hypothesised that such an approach will be adopted only in times of greatest political need, when an incumbent government is facing a popularity deficit in a pre-election context. While the study confirms that the fiscal-electoral effect is relatively weak, electoral demands do still influence the fiscal priorities of Australian federal governments. This is particularly so with the case of personal taxation relief, a policy approach that appears to be more acceptable to financial markets, key neoliberal interests and some segments of the electorate.     

Real‐estate in Russia from socialism to the market economy: The case of St Petersburg

In Russia, the real‐estate question is one of the key points in the transition from the Soviet system towards the market economy. Whereas the privatization of businesses and accommodation has been widely undertaken since 1990, the privatization of buildings and especially of land is still limited, the State and town councils remaining the principal land and property owners. This situation, which leads to very distinctive relations between public and private agents, is slowing the expansion of private property investment considerably and inhibiting the setting up of a genuine real estate market.     

基础设施投资与中国经济增长的地区差异研究

本文应用生产函数法和我国19962000年度混合数据,从全国各地区的层次进行分析,估计基础设施对经济增长的产出弹性,以及不同地域的显著性差异。得到的估计结果是基础设施投资的人均GDP产出弹性为0187;不同地域基础设施对经济增长的影响存在明显差异。本文分三部分。第一部分是引言,介绍了有关的研究文献;第二部分应用生产函数建立模型进行估计;第三部分是结论和政策建议。